Credit Card Fraud, Prepaid Debit Card Fees, and Payday Lending Fraud Litigation
Credit Card Fraud - Credit Card Companies Victimizing their Cardholders
Certain credit card companies are charging their credit cardholders for additional services without the knowledge or consent of the cardholders. Services may also be declined or canceled once the cardholder is in need of the benefits provided by the services. Other deceptive practices include certain credit card companies failing to obtain the cardholder's written consent and failing to provide required written disclosures prior to charging the cardholder. Once credit cardholders discover the fraudulent charges and call to report it, operators are falsely telling callers that the charges would not have been made without the cardholders consent.
Contact us to learn more about credit card fraud and how Waters & Kraus may be able to help you.
Prepaid Cards - The Dangers of Hidden Fees
Prepaid cards, also known as reloadable cards, are being marketed as a cheaper alternative to credit cards, debit cards, and traditional banking. Prepaid cards are often being targeted to low-income consumers and those with limited banking access. However, there are numerous fees associated with prepaid cards making them unexpectedly expensive. These hidden fees are potentially putting consumers further in debt. The prepaid card's hidden fees include initiation fees, monthly maintenance fees, cash withdrawal fees, fees to add funds, shortage fees, and overdraft fees. Some prepaid card companies perpetuate the damage even further - trapping consumers in a vicious cycle - by negatively reporting on the consumer's credit rating if he or she closes the account.
While these fees may be disclosed in small print on the cardholder agreement, prepaid card consumers typically do not read the fine print and are unaware of the numerous fees involved. Prepaid cards look like other plastic credit cards. Some of the top prepaid cards include those from leading discount retailers. Each of these cards may also feature the logo of a major credit card.
Contact us to learn how Waters & Kraus may be able to help you get out from under hidden fees.
Payday Lenders - Predatory Lenders and the Vicious Debt Cycle
Payday lenders - also known as predatory lenders - offer high-cost, short-term loans or cash advances to borrowers who are short on money. Predatory lenders are targeting low-income borrowers as well as elderly adults receiving social security benefits. Some payday lenders are charging the borrower as much as 400 percent or more in interest charges on their payday loans. While other payday lenders set up their borrowers with a line of credit on a prepaid card instead of giving them cash.
Unfortunately, this short-term solution can result in devastating long-term ruin. If the borrower does not pay off the full amount of the payday loan or cash advance at the end of the term (typically two weeks), the borrower is required to pay more fees to the lender without receiving any additional money. Some payday lenders encourage borrowers to sign over their paychecks or social security benefits, allowing the payday lender direct access to the borrowers income. Many unsuspecting borrowers, especially elder adults and seniors are getting caught up in a cycle of payday lender debt.
Contact us to learn how Waters & Kraus may be able to help you break the predatory lender debt cycle.
How Can Waters & Kraus Help Me
Waters & Kraus is a nationally recognized plaintiffs' firm with a special interest in handling complex cases. In addition to our award winning attorneys, we have highly-trained in-house litigation support departments. These include extensive finance law and information resources and leading-edge technologies. With this wealth of information immediately available - as well as an extraordinarily well-educated staff to cull and deploy it - our financial abuse and lending fraud clients have a decisive edge in the courtroom.
Our diverse practice includes consumer fraud class action cases such as credit card and prepaid card fraud, predatory lender fraud, and elder financial abuse in addition to, qui tam (whistleblower) litigation, and consumer product liability, as well as toxic tort litigation (mesothelioma-asbestos), pharmaceutical and medical product liability cases.
Call our offices toll free 800.226.9880 or send us an email to learn more.